Editorial
Challenge facing Dhammika
The decision of the Sri Lanka Podujana Peramuna (SLPP) to nominate business tycoon Dhammika Perera to Parliament to fill the National List vacancy created by former Finance Minister Basil Rajapaksa’s resignation took most observers by surprise. Following his gazetting as an MP, Perera was named Minister of Technology and Investment Promotion in the government and the subjects under this new ministry were gazetted last week. He has not yet taken his oaths as an MP but will do so when Parliament meets on Tuesday. He is expected to assume ministerial duties thereafter. As we reported last weekend, Perera has resigned from the boards of a clutch of quoted companies where he holds substantial interests and where he served as chairman/co-chairman/director/executive director etc. He also owns unquoted entities, including casinos, and what he has done in regard to such ownership/connections is not in the public domain.
The Center for Policy Alternatives (CPA) and its Executive Director, Dr. Pakiasothy Saravanamuttu, have gone to court challenging Perera’s appointment to Parliament via the SLPP National List. They have urged that such appointment in terms of Article 99A of Constitution can only be made from among those whose names were included in district nomination papers or National Lists submitted by the relevant political parties to the Elections Commission. This was not the case in the instance of Dhammika Perera’s nomination and his name was not in either list. The CPA’s human rights petition is due to be taken up this week by the Supreme Court and it will, no doubt, evoke a great deal of interest nationwide.
We are glad that the Supreme Court had decided on an early adjudication of the CPA’s petition. Two decades ago a similar petition based on Article 99A was not taken up for three years and was withdrawn when it had become irrelevant with the petitioner reserving his right to press the matter further. There was also a question of Field Marshal Sarath Fonseka being on the nomination list of one party and entering Parliament through the National List of another. Whether Dhammika Perera’s swearing will await the Supreme Court decision on its Constitutionality remains to be seen.
In addition to the main plea, the petition further urges that there was “very real bias and conflict of interest” regarding Perera’s appointment to Parliament. This is because he has substantial interests in a range of businesses engaged in a wide variety of activities. The CPA pleads that Article 91(1)(e) of the Constitution disqualified a person with interest in any contract “made by or on behalf of the State or a public corporation from being a Member of Parliament.” It finally submits that Dhammika Perera’s appointment “is illegal, arbitrary, irrational, grossly unreasonable, contrary to law and will if unchecked cause grave and irremediable harm and prejudice to the People of Sri Lanka and the Rule of Law itself.”
Perera has previously served the government in various official capacities. He served as Chairman of the Board of Investment (BOI) for three years until 2010 when it was said he would meet anyone looking to invest USD 50,000 or more in the country. Thereafter he became Secretary to the Ministry of Transport, also during a Mahinda Rajapaksa presidency. He did not make waves in either position although it has been alleged that as BOI Chairman, he was quick to grant investment approvals. But this was something Sri Lanka had long sought to achieve in its bid to attract foreign direct investment (FDI). BOI managers found him easy to work with, cutting red tape and listening to all points of view. He also served in the government’s Strategic Management Enterprise Agency which oversaw state enterprises; but most of these, as is very well known, continued to be the dead ducks they have long been. Dhammika had no magic wand to wave over them and make any difference.
Basil Rajapaksa ducked a question on whether Perera would take his vacant seat in Parliament when this question was posed at Basil’s farewell press conference. He looked at SLPP General Secretary Sagara Kariyawasam flanking him and said it was a matter for the party. Most people would disbelieve that the successor had not been decided on when Basil threw in the towel and stepped out of Parliament though not out of politics. Namal Rajapaksa is on record telling an Indian publication that Basil had requested the president to fill his vacancy “with a capable person,” expressing the view that Dhammika was a good choice because he was a successful businessman who could bring his corporate experience to government. Namal also saw Perera as a successful Chairman of the BOI.
Although the conflict of interest theorem bothers many, there is a school of opinion that Perera’s personal achievements are an indicator of abilities that can be useful to the crisis-wracked country.
It can be argued and it is freely said that mere resignation from the boards of directors of listed companies will not obviate conflicts of interest. Given the extensive areas of Perera’s business interests, the ramifications are many and with wide implications. His connection with the gambling industry would also be a black mark in the minds of some although one ruling party MP who advocated ganja growing now urges the development of a “night economy.” While Dhammika Perera has met Ranil Wickremesinghe subsequent to his gazetting as an MP, whether the Rajapaksas had the premier’s approval to bring the tycoon into government has not been made public. If there was no consultation in a matter such as this, it would imply that the president and prime minister are not pulling together.
Saturday 8th June, 2024
It was with shock and dismay that we received the news about death threats to COPF (Committee on Public Finance) Chairman Dr. Harsha de Silva over the ongoing parliamentary probe into the on-arrival visa scam. Dr. de Silva yesterday told Speaker Mahinda Yapa Abeywardena, in Parliament, that he was facing death threats and intimidation, and it was incumbent upon Parliament to ensure his safety. He stopped short of naming names, but revealed that some ruling party MPs were among those who had ganged up against him. The Speaker only said there had been no complaint, and he would look into the matter.
The SLPP-UNP government has been doing everything in its power to have all parliamentary committees under its thumb. The COPE (Committee on Public Enterprises), which once helped restore public faith in the legislature by exposing state sector corruption, has now become a mere appendage of the incumbent regime, thanks to the appointment of SLPP MP Rohitha Abeygunawardena as its Chairman. The SLPP-UNP combine also tried to oust COPF Chairman Dr. de Silva, but in vain. However, it knows more than one way to shoe a horse.
The COPF, under Dr. de Silva’s chairmanship, has been a thorn in the side of the government, which is struggling to cover up numerous corrupt deals. Dr. de Silva yesterday told Parliament that he found it extremely difficult to function as the COPF head due to severe resource constraints his committee was facing; he himself had to pay the salaries of some of his staff members besides burning the midnight oil.
The sheer workload he had to cope with as the COPF chief had taken its toll on his health, he said, informing the Speaker that he was at the end of his tether, and at times thought of resigning from the COPF. This is exactly what the government wants him to do; resource squeezes and threats are aimed at making him quit.
On 26 May, Dr. de Silva revealed, in an ‘X’ post, that the COPF had uncovered some vital information about the visa scam and it would reveal everything after its final meeting on the issue; the COPF was committed to exposing the truth behind the controversial tender, he added. In an editorial comment on 27 May, we warned him.
While thanking him for his bold stand, we pointed out that by making such a statement, he had thrown caution to the wind, and become a marked target, with the government making an all-out effort to delay the COPF investigation lest the truth should come out much to the detriment of its interests in this election year. Unfortunately, what was feared has come about; Dr. de Silva is complaining of death threats and government moves to strangulate the COPF financially to derail its investigations.
Dr. de Silva’s predicament exemplifies the fate that befalls the few good men and women in Parliament. It is hoped that all those who seek an end to the state sector corruption will rally behind Dr. de Silva, and bring pressure to bear on the government to ensure his safety. Let Dr. de Silva be urged to reveal the names of those who have issued threats, veiled or otherwise, to him and are trying to scuttle the COPF probes.
Friday 7th June, 2024
The SLPP-UNP government is going hell for leather to make bad laws as if there were no tomorrow. It is abusing its parliamentary majority, which has been retained with the help of some crossovers, for that purpose. The Opposition, the media and trade unions are up in arms, and understandably so. The incumbent regime is a dead man walking; it is so desperate that it is capable of anything. Hence the need for it to be restrained.
The Electricity (Amendment) Bill (EAB) plunged Parliament into turmoil yesterday, but the government secured its passage. The Supreme Court (SC) determined the entire EAB inconsistent with the Constitution and recommended changes thereto. After unveiling the Bill, sometime ago, Minister of Power and Energy Kanchana Wijesekera hailed it as an excellent piece of legislation aimed at straightening up the power sector to serve the public interest better.
The SC determination left him with egg on his face. He reminded us of the proverbial curate who, while eating a stale egg, assured his host, a Bishop, that parts of it were excellent. Wijesekera’s egg, as it were, made Parliament stink yesterday, but he sought to please his masters by praising it as a silver bullet.
EAB should have been discarded and a new one drafted in consultation with all stakeholders. But the government is apparently driven by an ulterior motive; its aim is not to serve Sri Lanka’s interests but to look after those of some moneybags.
It is not uncommon for Bills to contain some flaws, which are rectified either before or during the committee stage. But there is something terribly wrong with draft Bills that are full of sections inconsistent with the Constitution. The drafters of EAB have demonstrated their sheer ignorance of the supreme law, and that they are not equal to the task of drafting Bills. If they had read the Constitution at least perfunctorily, they would not have drafted such a bad law.
Ignorant and incompetent, they do not deserve to be paid with public funds and must be sent back to law school. They must be summoned before Parliament and questioned on their serious lapses, which have caused public faith in the national legislature to diminish.
Curiously, the MPs who demand that judges, doctors, Central Bankers, and other public officials be summoned before Parliament have taken badly drafted Bills for granted. The power sector trade unions yesterday alleged that EAB was of Indian origin and geared towards furthering the interests of Adani Group at the expense of Sri Lanka.
Most critics of EAB are agreeable in principle to the need for power sector reforms; the Ceylon Electricity Board should be given a radical shake-up, and transformed into a modern organisation capable of providing a better service at a lower cost. They only asked the government to tread cautiously, consulting all stakeholders and taking action to ensure that the country’s interests prevailed over everything else. But the government was in a mighty hurry to steamroller the Bill through Parliament, making the Opposition ask whether it was doing so at the behest of some external forces involved in controversial power generation deals here.
What is passed by the current Parliament can be either amended or abolished by a future parliament in a constitutionally prescribed manner. But that does not mean that a government is free to pass bad laws, making the country enter into long-term agreements with powerful nations and their investors. It looks as if the SLPP-UNP regime did not care two hoots about the consequences of its actions.
Thursday 6th June, 2024
The outcome of India’s parliamentary election (2024) has led to a ‘perspective ambiguity’. Prime Minister Narendra Modi lost no time in declaring victory for the BJP-led NDA alliance, which secured 293 seats in the 543-member Parliament, but he must be a worried man. The BJP is short of 32 seats to form a government under its own steam; it has lost 63 seats or about 20% of its parliamentary strength. It had 303 seats in the previous Parliament, and that number has dropped to 240.
Modi has become the second Indian Prime Minister to win a third term. The first PM to do so was Jawaharlal Nehru. But Nehru won an outright majority in Parliament in 1962; Modi has had to depend on smaller parties in his alliance to retain his hold on power. Modi must be reeling from a sharp drop in his victory margin in his own constituency, Varanasi; it has decreased to 152,000 from 480,000 in 2019 whereas Modi’s bete noire, Rahul Gandhi, won Raebareli by a staggering 390,000 votes.
Modi, who reigned supreme with 303 seats in the previous Parliament, is now dependent on parties such as Nitish Kumar’s JD-U and Chandrababu Naidu’s TDP to form a government. He has had to lead an alliance of strange bedfellows. Both Kumar and Naidu were bitter critics of Modi. Kumar helped form the oppositional alliance, the INDIA bloc, before switching his allegiance to PM Modi. Naidu also closed ranks with the BJP in the run-up to the election. These politicians have been described as extremely ambitious and highly unpredictable, and whether Modi will be able to manage them and consolidate his grip on the NDA alliance remains to be seen. They will demand plum ministerial posts in return for their support. The TDP is said to be eyeing Transport and Health portfolios! That is the name of the game in coalition politics, where it is not uncommon for the tail to wag the dog, so to speak. These two political leaders are however not the only problem Modi will have to contend with. The next five years will feel like an eternity for PM Modi.
Nothing would have been more shocking for the BJP than its defeat in Uttar Pradesh’s Faizabad constituency, where the Ram Mandir has been built. Modi may have thought he would be able to win the Lok Sabha election hands down after the consecration of that temple, which became a centrepiece of the BJP’s election campaign. The BJP lost that seat to the Samajwadi Party! Modi must be disappointed that the Ram Mandir hype failed to trigger a massive wave of support for his party. This particular defeat signifies a massive setback for the BJP’s ethno-religious agenda.
Modi’s divisive election campaign failed to yield the desired result. The BJP’s failure to secure an outright majority could be attributed to a host of factors, some of them being the suppression of the Opposition, the arrogance of power, chronic unemployment, and the rising cost of living. The BJP also did not care to reimage itself in a positive light to attract the youth.
Modi will hereafter see the Congress-led INDIA bloc with 223 seats, in his rearview mirror. The Congress (99 seats) and its allies have eaten into the BJP support base considerably, but they have a long way to go before being able to capture power.
The bumpy ride ahead for the BJP-led coalition government to be formed may improve the INDIA bloc’s chances of bettering their electoral performance and turning the tables on the BJP and its allies in time to come. Modi will have a lot to worry about in his third term.
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